EXHIBIT 99 ---------- FFD [LOGO] Date: August 7, 2008 FOR IMMEDIATE RELEASE: CONTACT: Trent B. Troyer, President & CEO 330-364-7777 or trent@onlinefirstfed.com FFD Financial Corporation Reports Net Earnings for the Quarter and Annual Periods Ended June 30, 2008 DOVER, OHIO - FFD FINANCIAL CORPORATION (NASDAQ:FFDF), parent company of First Federal Community Bank of Dover, Ohio, reported net earnings for the three months ended June 30, 2008, of $241,000, or diluted earnings per share of $.22, compared to the $435,000, or $.39 per diluted share, of net earnings reported for the comparable three-month period in 2007. The $194,000, or 44.6%, decrease in net earnings resulted from increases of $173,000, or 221.8%, in the provision for losses on loans and $142,000, or 13.6%, in general, administrative and other expenses and a decrease of $2,000, or 1.2%, in other income, which were partially offset by an increase of $24,000, or 1.5%, in net interest income and a decrease of $99,000, or 43.8%, in the provision for federal income taxes. Net earnings for the fiscal year ended June 30, 2008, were $1.2 million, or diluted earnings per share of $1.08, compared to the $1.6 million, or $1.44 per diluted share, reported in fiscal 2007. The $453,000, or 27.9%, decrease in net earnings resulted from increases of $583,000, or 212.0%, in the provision for losses on loans and $277,000, or 6.4%, in general, administrative and other expenses, which were partially offset by increases of $168,000, or 2.6%, in net interest income and $6,000, or 1.0%, in other income and a decrease of $233,000, or 27.6%, in the provision for federal income tax. The increase in the provision for losses on loans was based primarily on the overall decline in the real estate market and the economy in general. Over the twelve-month period, the allowance for loan losses increased by 59.4%, raising the coverage ratio from the June 30, 2007 level of .61% of net loans to .95% of net loans as of June 30, 2008. Net charge-offs for the twelve month period totaled $305,304, or .17%, of average assets. Although charge-offs have increased during this fiscal year, they were relatively low given the difficult overall economic environment. Non-performing assets were $985,000 at June 30, 2008, or .54%, of assets, well below the average for Ohio publicly traded commercial banks and thrifts (1.02% and 2.42% respectively) as of June 30, 2008.(1) First Federal is not, and has not, been involved in sub-prime lending. - -------- (1) Source: Keefe, Bruyette & Woods, Inc. as of 6-30-08 321 N. Wooster Avenue, Post Office Box 38 Dover, OH 44622 330-364-7777 www.onlinefirstfed.com NASDAQ: FFDF The increase in net interest income was primarily due to increases in average balances of loans receivable, which were partially offset by increases in average deposit balances and the cost of new and repricing deposits. Borrowing costs decreased during the 2008 fiscal year due to the decrease in the average borrowing costs outweighing the increase in the average balance of borrowings. The increase in general, administrative and other expense was due primarily to growth in the Corporation's operations year over year. The $6,000 increase in other income resulted from increased fee income. The decrease in the provision for federal income tax resulted from the decrease in earnings before income tax year over year. FFD Financial Corporation reported total assets of $181.7 million at June 30, 2008, an increase of 5.1% over the June 30, 2007 balance of $173.0 million. Cash and cash equivalents increased by 44.5% from the June 30, 2007, balance of $9.0 million to $13.0 million at June 30, 2008. Loans receivable (net) increased by 1.9% from the June 30, 2007, balance of $153.3 million to $156.2 million at June 30, 2008. Total liabilities increased by 5.6% from the June 30, 2007, balance of $154.9 million to $163.6 million at June 30, 2008, and included deposits of $141.3 million, representing an increase of 1.0% over the June 30, 2007, balance of $140.0 million. Shareholders' equity amounted to $18.2 million at June 30, 2008, an increase from the $18.1 million total at June 30, 2007. The increase in shareholders' equity was primarily attributable to net earnings of $1.2 million, proceeds from the exercise of stock options, which were partially offset by a negative mark to market of investments available for sale, the cost of previously announced share repurchases and payments of quarterly dividends. First Federal continues to maintain strong capital ratios, well exceeding regulatory requirements. FFD Financial Corporation is traded on the NASDAQ Capital Market under the symbol FFDF. First Federal Community Bank has full service offices in downtown Dover, downtown New Philadelphia, on the Boulevard in Dover and in Sugarcreek. The Corporation maintains an interactive web site at www.onlinefirstfed.com 321 N. Wooster Avenue, Post Office Box 38 Dover, OH 44622 330-364-7777 www.onlinefirstfed.com NASDAQ: FFDF FFD Financial Corporation CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (In thousands) June 30, June 30, ASSETS 2008 2007 (unaudited) Cash and cash equivalents $ 13,049 $ 9,033 Investment securities 5,623 3,448 Mortgage-backed securities 323 364 Loans receivable, net 156,232 153,323 Loans held for sale - 624 Other assets 6,511 6,202 -------- -------- Total assets $181,738 $172,994 ======== ======== LIABILITIES AND SHAREHOLDERS' EQUITY Deposits $ 141,332 $139,922 Borrowings 20,595 13,131 Other liabilities 1,631 1,806 -------- -------- Total liabilities 163,558 154,859 Shareholders' equity 18,180 18,135 -------- -------- Total liabilities and shareholders' equity $181,738 $172,994 ======== ======== FFD Financial Corporation ------------------------- CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (In thousands, except share data) Three months ended fiscal year ended June 30, June 30, 2008 2007 2008 2007 (unaudited) (unaudited) (unaudited) Total interest income $2,791 $2,962 $11,815 $11,472 Total interest expense 1,155 1,350 5,144 4,969 ------ ------ ------- ------- Net interest income 1,636 1,612 6,671 6,503 Provision for losses on loans 251 78 858 275 ------ ------ ------- ------- Net interest income after provision for losses on loans 1,385 1,534 5,813 6,228 Other income 168 170 586 580 General, administrative and other expense 1,185 1,043 4,619 4,342 ------ ------ ------- ------- Earnings before income taxes 368 661 1,780 2,466 Federal income taxes 127 226 610 843 ------ ------ ------- ------- NET EARNINGS $ 241 $ 435 $ 1,170 $ 1,623 ====== ====== ======= ======= EARNINGS PER SHARE Basic $.22 $.40 $1.08 $1.45 ==== ==== ===== ===== Diluted $.22 $.39 $1.08 $1.44 ==== ==== ===== ===== 321 N. Wooster Avenue, Post Office Box 38 Dover, OH 44622 330-364-7777 www.onlinefirstfed.com NASDAQ: FFDF